consultancy Services

Manufacturing Supply Chain

How we streamline your logistics flows and your manufacturing operations to help your plant to increase throughput while reducing inventories and operating costs.
Reduce inventories and optimise working capital

Inventory management is a key success factor for our clients in order to meet their strategic objectives:

- Customer satisfaction: well-managed inventories ensure high-quality delivery standard levels to the end user, and result in enhanced customer satisfaction.

- Optimised working capital: this reduces inventory value and buffer stocks along the supply chain, optimises the number of inventory turns per year and reduces any risk that may have a significant impact on a business’s financial performance.

- Reduced inventory detention costs: when inventories are optimised, the operating cost (handling, storage, warehouse space, human resource etc) is significantly reduced – especially when high runners and slow moving products are managed in an efficient way.

- Reduced ‘consequential’ costs: there are always going to be additional costs associated with inventory shortages or non-optimised inventory management, often due to manufacturing disruption, late delivery penalties, additional transportation costs (airfreight etc).

Tokema consultants use proven methodologies and calculations to optimise inventory levels against operating costs and service levels. We develop a joined-up approach with our clients to define efficient inventory policies, identify inventory optimum levels, create a migration plan from the existing situation to the desired model, and support our clients’ supply chain teams to execute the new inventory management strategy effectively and autonomously.

This approach requires that each department’s own agenda is aligned with a unique business approach. This is where Tokema Consulting also support clients via implementation or improvement of their Sales and Operations Planning (S&OP) to support the execution of ambitious inventory management strategies.

Increase throughput while decreasing inventory & costs

There is a question each Plant Manager or Manufacturing Director is almost surely asking and we hear from many customers:

“How can I know if all we do within our plant is REALLY productive or counterproductive?”

Businesses all have their own KPIs to evaluate how productive a plant can be: production output, OEE (Overall Equipment Effectiveness), assembly lines throughput, inventory turns, logistics costs…

Actually, there is no standard answer to each company’s strategy, however there is an approach we like to share with your customers when our consultants are appointed to support a plant transformation program or to solve efficiency issues in a manufacturing site.

The very first action we take is to facilitate Plant Executive workshops to discuss the plant strategy, issues, successes and align all stakeholders to:

- a shared understanding of the current situation,

- a shared vision of the goal the team wants to achieve,

- a team engagement about the strategy to implement,

- a joined commitment to deliver the objectives.

It is critical to align the Management Team to common goals. We learned from previous projects that each manager has its own agenda: the Production Manager will look at the Production output when the Plant Logistics Manager will focus on logistics costs reduction or the Finance Manager will push for inventory decrease…

Developing a shared agenda will support the goal to increase the plant’s turnover (throughput) while decreasing inventories and operating costs SIMULTANEOUSLY.

Our methodology includes lean methods and several techniques that help to identify bottlenecks, solve issues and implement continuous improvement initiatives that benefit to the entire plant and not to a specific department only.

Interested? Book your free consultation now!

Better align supply and demand with S&OP

« Prediction is very difficult, especially about the future »

Niels Bohr (1885-1962) - Physics Nobel Prize 1922

In an ever-changing and uncertain world with on-line shoppers’ demand fluctuations, it becomes even more difficult for businesses to plan their activity.

However, when the external world is hardly predictable there are also many internal factors that create more complexity in the process to implement a reliable and accurate integrated business planning.

Our team at Tokema Consulting use our own unique 5-step methodology to implement a tailor-made S&OP design that involves and engages each department within your business; from the Senior Leadership Team to your sales team, and from your manufacturers to your financial officers.

We engage across the board because the ‘S&OP journey’ often requires a ‘cultural change’ within any business we work with.

Successful achievements of such an initiative are always based on the people involved: people need to understand which results are expected by the company but also how the S&OP journey will help them to do their own job more efficiently every day.

This is why we work hard to involve every person in your business via a change management process of true people engagement and buy-in in addition to forecasting system reviews and process design and implementation.

And because no business can afford anymore an 18 months project, Tokema Consulting has changed its S&OP project methodology to cope with the higher speed of change and flexibility required on the market.

Efficient logistics manufacturing operations

Efficient logistics manufacturing operations add value to the wider optimisation of Manufacturing Operations. We usually focus on processes, systems, equipment and people to help our customer’s manufacturing organisation to strengthen their competitiveness on global markets (cost to serve, on-time delivery (OTD), quality, product availability (OTIF), flexibility, customer satisfaction).

Efficient Manufacturing Supply Chain operations through optimised processes ensure that customer demand is fulfilled as planned, new products are efficiently launched, material inventories are optimised and available to supply demand on time or the outbound process to customers is performed at a competitive cost, on time and at the expected quality level.

Our consultants work across the end-to-end supply chain to achieve our customers’ target of logistics manufacturing operations efficiency and competitiveness, especially:

- Inbound Material Logistics: as supply chains are increasingly becoming complex, global sourcing strategies have an impact on inbound transportation costs and leadtimes. Our teams evaluate customers operations processes and planning practices to recommend and implement new approaches and optimisation techniques (value stream mapping; process review; inventory analysis)

- In-plant Material Flow optimisation: using Lean Manufacturing techniques, our consultants evaluate the efficiency of the material flow within the plant with the objective to optimise operations while maintaining a consistent flow of material for production (logistics layout improvement, Kanban implementation, milk runs design, bottlenecks identification and solving, lean processes design, implementation and training).

- Outbound (finished goods): our consultants are usually engaged in designing and implementing “Make to Order” vs. “Make to Stock” projects. We help customers to optimise their outbound logistics up to the final delivery to customers (outbound process optimisation, inventory days reduction, transport cost and lead times optimisation).

Discuss your next project

If you are interested in learning more about how Tokema can support your business, contact us.